The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:How Will the TIAA Buyouts Affect Nuveen? Not Rated 0.0 Email Routing List Email & Route  Print Print
Monday, August 03, 2020

How Will the TIAA Buyouts Affect Nuveen?

News summary by MFWire's editors

A financial services provider with a giant asset management arm about to shrink by about ten percent in terms of staff, thanks to a buyout program. Yet the asset manager's investment team will not slim down as much.

Roger W. Ferguson, Jr.
President and CEO
In May, leadership at Nuveen's parent company, TIAA, offered 75 percent of its employees a buyout package, the Voluntary Separation Program (VSP). Employees had until mid-July to decide whether or not they would like to accept, and a TIAA spokesperson confirms that between four and five percent of Nuveen's investment personnel chose to participate in the TSP. That compares with the whole of TIAA, whose headcount will drop by about 10 percent thanks to the VSP, "factoring in planned backfills and strategic hiring," the spokesperson says.

"That rate [for Nuveen's investment team] is comparable to our turnover rate for investment personnel for all of 2019 of just under 5%, among the lowest in the asset-management industry," the TIAA spokesperson tells MFwire in an email.

All decisions about which VSP requests will be granted (and which won't) have already been made, the spokeperson says, and communications are underway. The spokesperson adds that all TIAA employees who applied for the VSP should hear back by the end of this week.

"Most associates electing to participate in the program will not be departing until early November, providing ample opportunity to properly transition relationships, historical knowledge, materials and other aspects of our client support," the spokesperson continues. "While our aim was to honor requests from associates who opted for the VSP, our leadership had discretion to decline any request and retain an employee if doing so would be in the best interest of our clients and our firm."

"We will be backfilling some client-facing positions and we expect the number of RMs and CSMs TIAA employs will remain the same even though there will be some departures and additions as a result of VSP," the spokesperson notes.

The VSP offer included between 45 and 91 weeks of the employee's salary (depending on tenure), 100 percent of the employee's 2019 bonus, half a year of "outplacement assistance," and up to 18 months of TIAA-subsidized medical coverage under cobra.

"We are committed to making strategic hires as needed to support our mission and have the means to do so," the TIAA spokesperson tells MFWire.

"In addition to being operationally healthy, Nuveen is also financially sound, winning new clients and mandates and expanding our business with current clients," the TIAA spokesperson tells MFWire. "We do not undertake expense-management programs lightly, but in the current environment, we believe taking proactive, prudent measures to protect our clients' long-term interests is the right thing to do." 

Edited by: Lauren Corradi

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2022: Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

  1. 2022 IDC Fund Directors Workshop, May 26
  2. Irish Funds Annual Global Funds Conference 2022, May 30-31
  3. WealthManagement Edge, May 31 - June 3
  4. MFDF 2022 Fund Governance and Regulatory Insights Conference, Jun 8-9
  5. 28th annual Expect Miracles East Coast Classic, June 9
  6. 2022 Sohn Investment Conference, June 9
  7. IDC webinar - Cybersecurity for Fund Boards: The Current Landscape, June 9
  8. MMI webinar - Driving Business Value with Artificial Intelligence & Data, June 15
  9. MFDF webinar - Key Takeaways From Morningstar's 2021 Annual Fund Fee Study, June 16
  10. MFDF Director Discussion Series - Open Forum (Chicago), June 21
  11. 2022 MMI Emerging Asset Managers Forum, June 23
  12. MFDF In Focus: Capitol Hill, A Conversation with Congressman Bryan Steil, June 28
  13. Financial Planning INVEST, Jun 28-29
  14. MFDF webinar - Differentiating Mutual-Fund-to-ETF Conversions, July 19
  15. MFDF Director Discussion Series - Open Forum (New York), July 20
  16. 2022 MMI Distribution Leadership Forum, Jul 20-21
  17. MFDF webinar - Fund Boards' Oversight of Investment Performance, July 28
  18. MFDF webinar - Performance, Perception and Manager Selection, September 14
  19. 2022 ICI Tax and Accounting Conference, Sep 18-21
  20. 5th annual Expect Miracles Atlantic Coast Classic, October 3
  21. Nicsa Fearless Leadership Symposium, Oct 6-7
  22. 2022 MMI Annual Conference, Oct 19-21
  23. 2022 IDC Fund Directors Conference, Oct 24-26
  24. 18th annual Expect Miracles Wine & Spirits Event, October 27
  25. Nicsa 2022 General Membership Meeting, October 31 - November 2
  26. Tiburon CEO Summit XLIII, Nov 7-9

©All rights reserved to InvestmentWires, Inc. 1997-2022
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use